NEWS: ConocoPhillips Announces Final Quarter Of Blockbuster Profits Under ACES

ConocoPhillips Announces Final Quarter of Blockbuster Profits Under ACES

Senator calls on Alaskans to support the effort to Repeal the Giveaway in light of stunning earnings of $2.17 billion

JUNEAU – Today ConocoPhillips announced another quarter of blockbuster profits on its Alaskan operations. In their earnings statement, CP announced 4th quarter adjusted earnings in Alaska of $555 million and annual earnings of $2.17 billion. This translates into profits of more than $6 million each and every day and $250,000 per hour.

“ConocoPhillips’ earnings report once again confirms what Alaskans already know: the North Slope generates massive profits for those who develop our resources,” stated Senator Wielechowski. “Despite what we hear on TV and radio ads, Alaska under the ACES tax system yielded phenomenal profits. There was and is no need to overhaul our tax structure. The giveaway promoted by Governor Parnell will drain our savings and has already plunged us into deficit spending without any increase in production in the foreseeable future.”

Senator Wielechowski noted that the Governor’s own 10-year production forecast shows no increase in production over today’s levels. (See page 44 and 101 of the forecast). The Governor is now projecting production of just 319,000 barrels a day in 2023. This continued decline contrasts with what Alaskans were told last year by Administration officials, who sold SB 21 on the basis that it would increase production. It is also in stark contrast with Governor Parnell’s goal of one million barrels a day down the pipeline within a decade.

Wielechowski also noted that employment in Alaska’s oil patch hit an all-time high during the last month in which ACES was in effect.

“Oil and gas employment in Alaska peaked in December at 15,000 jobs, the last month ACES was in place. Record highs in jobs and multi-billion dollar profits for oil companies show just how well this tax structure was working,” said Senator Wielechowski. “No wonder more than 50,000 Alaskans signed a petition to Repeal the Giveaway.”

ConocoPhillips full earnings report can be viewed here (see page 4 and 5):